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Borough manager outlines housing projects, warns infrastructure costs could top $45 million

March 03, 2026 | Petersburg Borough, Alaska


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Borough manager outlines housing projects, warns infrastructure costs could top $45 million
Petersburg Borough manager Steve Giesbrecht updated the assembly and school board on housing and infrastructure plans, saying several projects are moving forward but that development costs remain large.

"We have the airport addition, which'll be adding 20 lots up there, and they're paying for all the infrastructure, and they give 9 of those lots to the borough to sell," Giesbrecht said. He described the Skylark project as having up to 40 lots (largely manufactured-home lots) and said private developers are advancing higher-end properties near Sandy Beach.

Giesbrecht said the borough is exploring multifamily development on borough-owned lots on 8th Street and is seeking a local architect to develop concept designs for potential elder housing or fourplexes. He warned that bringing infrastructure to some parcels could be expensive: "We're talking $45,000,000 to just get the infrastructure in, and we don't have the money for that."

Giesbrecht also flagged workforce and hiring challenges for the school district and borough operations and said housing development is part of the borough's strategy to support recruitment.

Next steps: Borough staff will pursue preliminary design work for 8th Street, continue discussions with private developers and evaluate options for leveraging incoming lots to support local housing needs.

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